Peshawar: The Khyber Pakhtunkhwa (KP) government on Friday announced concessions for property tax, trade, and professional tax defaulters for (Financial Year) FY2020-21, a news source reported. According to details, this provision will remain in effect until June 2021.
To this effect, the Finance Bill 2020-21 indicated that the provincial government would not levy property tax until June 2021. Taxpayers will have to submit their dues in 12 instalments with 25% discount, while 30% discount will apply to lump sum payments till June 30, 2021.
On the other hand, in case of not clearing dues, KP government will recover the full tax amount along with penalty, and individuals will not have permission to transfer their properties unless all dues are cleared.
Meanwhile, the Local Government (LG) Department has abolished taxes on around 200 small & medium enterprises (SMEs). The Excise & Taxation (E&T) Department also removed taxes on small businesses and individuals. KP government abolished hotel tax on all hotels and professional tax on over 18 professionals in the province. However, these professionals will have to register their businesses with the KP Revenue Authority.
For FY2020-21, KP government has reduced the location factor of property tax on immovable property. In this regard, taxpayers who pay their dues on time will enjoy a 35% concession as well.
